>The bill, sponsored by Representative Bill Thomas (R-California), Chairman of the Ways and Means Committee, hopes to generate jobs through tax reform. It regulates nonqualified deferred compensation plans (See Thomas Bill Includes New Corporate Tax Structure).
According to a press release, the bill includes provisions to:
- reduce the tax rate for US producers and manufacturers from 35% to 32%
- implement a rate cut across the board for all C-corporations with less than $20 million in taxable income
- expand the size of companies exempt from the corporate Alternative Minimum Tax (AMT) from $7.5 million of gross receipts up to $20 million
- repeal the Foreign Sales Corporation-Extraterritorial Income (FSC-ETI) tax regime to head off $4 billion in tariffs against US goods.